BT: MLT's Q3 distributable income up 79%

Business Times - 26 Oct 2007

MLT's Q3 distributable income up 79%

The trust's target is to have a portfolio worth at least $5b by 2010

By UMA SHANKARI

MAPLETREE Logistics Trust (MLT) yesterday said its third quarter distributable income rose 78.9 per cent to $19.1 million - from $10.7 million a year ago - as revenue was boosted by contributions from 25 new properties the trust acquired during the year.

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MLT's distribution per unit (DPU) came to 1.72 cents, up 30.3 per cent from the DPU of 1.32 cents for the corresponding three months last year.

Net property income increased 76.1 per cent to $33.9 million from $19.2 million.

For the first nine months of the year, MLT's distributable income rose 82 per cent to $52.1 million, while DPU climbed 32.7 per cent to 4.79 cents.

The trust's asset base grew significantly over the last year, adding to its revenue, MLT said.

As at Sept 30, 2007, the trust's portfolio had 61 properties, compared to 36 properties a year ago. These 61 properties have a book value of over $2.1 billion.

Another 13 property acquisitions worth some $295 million in all have also been announced and are pending completion.

'For the current year-to-date, we have completed $687 million of acquisitions and have another $295 million of acquisitions that have been announced but are pending completion,' said Chua Tiow Chye, chief executive of MLT's manager.

'This means that we have achieved 98 per cent of our $1 billion target for 2007.'

Once the pending acquisitions are completed, MLT's portfolio would comprise 74 properties with a book value of about $2.4 billion. The trust's target is to have a portfolio worth at least $5 billion by 2010.

Mr Chua added that MLT will probably buy the 254,000 sq ft Mapletree Logistics Centre in Vietnam from its sponsor Mapletree Investments by the end of this year.

The acquisition will mark the trust's first foray into Vietnam. Right now, all of MLT's properties are in Singapore, Malaysia, Japan, Hong Kong and China, but the trust has also identified Vietnam, India, South Korea, Taiwan and Thailand as attractive markets as it aims to have a more geographically diversified portfolio.

'We hope that by this time next year, we will have some assets in Thailand and South Korea,' said Richard Lai, deputy chief executive of MLT's manager.

For the next financial year, more contributions from Japan, China and Malaysia are expected, MLT said.

MLT's shares closed two cents up at $1.19 yesterday.